Record Surge in Solar Panel Installations Across Pakistan Due to Rising Electricity Prices

Islamabad: The rising electricity tariffs have led to a record-breaking surge in the installation of solar panels across Pakistan, with major cities witnessing a significant uptick in solar energy adoption.
According to the State of Industry Report 2023 by NEPRA (National Electric Power Regulatory Authority), Lahore has topped the list for the highest number of solar panel and net meter installations. In 2023, over 19,000 customers in the Lahore Electric Supply Company (LESCO) area installed net meters.
Islamabad ranked second, with 14,958 customers in the Islamabad Electric Supply Company (IESCO) region opting for net metering. Karachi, the largest city in Pakistan, secured third place with 4,512 installations in the financial year 2023. This number has surged by approximately 50% in fiscal year 2024, reaching close to 6,300 installations.
Overall, the number of net meters installed nationwide in fiscal year 2023 totaled 48,689, with commercial installations accounting for 4,229, and industrial users numbering 2,303. The majority of installations were by residential consumers. Even in industrial zones, the installation of net meters has doubled in recent years.
In Karachi, some areas have already reached the limit for net meter installations due to full capacity in the PMTs (Power Metering Transformers). Areas like DHA, Gulshan-e-Iqbal, Mohammad Ali Society, PECHS, Clifton, Korangi, FB Area, and North Karachi are among those where further installations are no longer possible due to 80% capacity usage, as per NEPRA’s regulations.
Reports indicate that Pakistan has witnessed a sharp rise in solar energy adoption due to a staggering 155% increase in power tariffs over the last three years. Small businesses and residential users are increasingly shifting to solar energy. In 2023, Pakistan imported $2.1 billion worth of solar panels from China, making it the 7th largest importer of Chinese solar panels globally. In 2024, the country imported 17 gigawatts of solar panels.
However, in recent weeks, local markets have seen a significant price hike for solar panels. Just two weeks ago, the price of a 585-watt bifacial solar panel had dropped to Rs. 16,000, but due to a shortage, the price has now been unjustifiably raised by Rs. 2,250, pushing the cost of a 585-watt bifacial panel to Rs. 18,250.